Macquarie Group reported an improvement in its capital position yesterday, with surplus capital increasing from A$2.9 billion in September to A$3.2 billion in December. At an investor briefing, Macquarie's chief executive, Nicholas Moore, emphasised the group's balance sheet strength, saying it was ready to deal with Basel III requirements. Tier 1 capital stands at 10.6 per cent. Moore said: "We have sufficient capital to meet the requirements we think will be coming under Basel III. "The actual implementation of Basel III is still taking place with APRA (the Australian Prudential Regulation Authority) at the moment, but from what we've seen, and from what we know, we will be think fine there. "We still have capacity having regard to where we think Basel III will end up for us here in this country."